GREEN BAY - The City Council moved the Hotel Northland project one step closer to receivership with its 7-5 vote Tuesday.

The city backed a proposal by Virginia-based Octagon Finance to put Hotel Northland LLC under the control of an independent, third-party receiver provided the process pays subcontractors and gets the partially completed renovation done in one year.

A Brown County Circuit Court judge will pick the receiver, whose job is to pay as much as possible to people owed money and also to figure out how to complete the project.

Tuesday’s contentious discussion of the Northland laid out the task ahead: Securing at least $24.5 million to pay off subcontractors, finish the renovation and operate the hotel.

But the council meeting also included comments from four key people likely to pursue a role in completing the Northland. Here’s a look at who to watch, their history with the Northland and interest going forward.

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Keith P. Harenda of KPH Construction during a hearing to determine ownership of the Hotel Northland project at the Brown County Courthouse in Green Bay.(Photo: Jim Matthews/USA TODAY NETWORK-Wisconsin)

Keith Harenda

Last we heard: Working to bring Madison-based Kothe Real Estate Partners on board as co-developers in exchange for a $3 million investment in the project.

Long-term interests: Unclear. Harenda’s spokeswoman could not be reached to discuss his interest should it go into receivership. But he has made a substantial investment of time and money in the project.

Details: Harenda spent all of 2017 trying to find a lender after Huntington Bank pulled out of the project. Without a new lender, Harenda has been unable to resume construction and complete a buyout of his partner, Mike Frantz. In July, Harenda’s construction company, KPH Construction Corp., filed a $12.3 million lien against Hotel Northland LLC, the company that was created to own and renovate the hotel. The lien seeks payment for work done by KPH on the project.

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Mike Frantz, of Frantz Community Investors, stands in Brown County Circuit Court after a hearing in April to determine ownership of the Hotel Northland project.(Photo: Jim Matthews/USA TODAY NETWORK-Wisconsin)

Mike Frantz

Affiliations: Frantz Community Investors, Hotel Northland LLC.

Northland roles: Initial developer, owner.

Last we heard: Pitched an alternative route to the Council on Tuesday for re-starting renovation of the hotel using a $13.5 million loan from a St. Petersburg, Fla. company, DCR Mortgage 7 Sub 1 LLC. He said the company committed the funds in an April 13 letter.

Long-term interest: Moderate. Doesn’t think the Northland needs to enter receivership, but won’t rule out making a push for ownership if it goes to court.

Details: Frantz is still waiting for Harenda to fulfill the terms of a buyout agreement reached in Brown County Circuit Court in April. In the meantime, he has pursued financial backing to complete the project and says he can finish what he started, preferably without a receiver.

“I still think there’s some outstanding issues,” Frantz said. “If it does go into receivership, I might make a play, but there are still a lot of questions out there.”

JP Williamson

Affiliations: partner, Octagon Finance.

Northland role: Financier.

Last we heard: Williamson told the council Octagon has lent $13 million to the project through the purchase of historic renovation tax credits awarded to the project by the state.

Long-term interest: Protecting Octagon’s existing investment in the project by paying subcontractors, finishing the renovation and opening the hotel. Williamson has said he is not interested in being the long-term financier of the project.

Details: Williamson told the council he expects the Northland will need $18.5 million to pay subcontractors for work already performed and finish the project, as well as another $5 million to operate the property after it opens.

“We are firmly committed behind getting the hotel open and getting the subcontractors paid,” Williamson told the council. “We’re willing to do so in the receivership process. But not elsewhere.”

Dennis Doucette

Affiliations: Partner, Legendary Hotels.

Northland role: Wrote original Northland business plan, initially expected to manage hotel.

Last we heard: Doucette and his partner, Mike Frantz's brother, Steve Frantz, are still owed money for their early work on the operating plan and financial projections for the hotel. Doucette and Frantz are also involved in the renovation of the Hotel Retlaw in Fond du Lac.

Long-term interest: Considerable. On Tuesday, he told the Council that Legendary Hotels could make a push to buy the Northland when it comes out of receivership.

Details: “Legendary Hotels has considerable interest in the Northland should the property become available. First, we’d need to assess the current status of build-out to determine necessary costs to complete construction,” Doucette said in a prepared statement. “Contingent on that assessment, we’d welcome an opportunity to present our vision for the hotel. (Legendary Hotels) is introducing a legitimate luxury hotel in Fond du Lac (the Hotel Retlaw) and the city of Green Bay deserves no less for the Northland.”

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Mayor Jim Schmitt, the City Council and Dennis Doucette got into some very heated exchanges Wednesday night during talks on the Hotel Northland project. Doucette, who wrote the original project's business plan, got upset after Schmitt accused him of requesting $10,000 from the city.
Jeff Bollier/USA TODAY NETWORK-Wisconsin